USDC market cap returns to 30 billion, with reserves largely managed by BlackRock, Circle IPO in the works

The market value of the US dollar stablecoin USDC issued by the stablecoin issuer Circle has recently slowly risen to over $30 billion, with most of the reserve assets managed by BlackRock. The exchange Coinbase, which has invested in Circle, announced that it will stop supporting its USDC on the TRON blockchain. These actions are all in preparation for its IPO, ensuring that USDC maintains its position as a transparent, trusted, and secure digital dollar.

Circle's Market Value Slowly Rising

Circle, aiming to go public in the United States, faced a bank crisis in March last year when its deposits were held at Silicon Valley Bank, causing a run on the bank. Although it successfully transferred the deposits to Mellon Bank afterwards, its market value has been on a downhill trend, dropping to below $25 billion, more than half of its peak value of $56 billion. Meanwhile, its competitor Tether's USDT has been steadily growing, currently reaching an astonishing market value of $103.9 billion.

However, with the crypto market warming up, the market value of USDC has also been slowly rising. According to data from CoinGecko, the current market value is $30.9 billion.

According to previous reports, Circle is quietly applying for a U.S. IPO, seemingly aiming to take advantage of the crypto market recovery and become the first compliant stablecoin issuer to go public in the United States.

Most of Circle's Reserve Assets Managed by BlackRock

According to the latest information disclosed by Circle here, as of 3/14, there are $30.5 billion USDC in circulation, backed by $30.7 billion in reserve assets. Among them, $4.1 billion is in cash in banks, while $26.6 billion is held in the Circle Reserve Fund. The Circle Reserve Fund is a 2a-7 government money market fund registered with the U.S. Securities and Exchange Commission (SEC) by BlackRock Advisors, LLC, specifically for Circle. Its investment portfolio includes short-term U.S. government bonds, U.S. Treasury Repurchase Agreements, and cash, with New York Mellon Bank as the custodian bank. According to a certification report issued by Deloitte in February, as shown here, up to 56% of the reserve assets are in repurchase agreements.